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Homepage Blog Technology Regulatory Delays Threaten Telecom Future, Senate Told
Technology

Regulatory Delays Threaten Telecom Future, Senate Told

By
Ali
Last updated: September 2, 2025
6 Min Read
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The Senate Standing Committee on Information Technology and Telecom on Tuesday sharply criticised regulators and telecom operators over unresolved disputes, stalled audits, and spectrum-related litigation, warning that delays could jeopardise Pakistan’s planned 5G spectrum auction. Chaired by Senator Palwasha Khan, the committee expressed alarm over multiple issues ranging from overbilling and spectrum misuse to the refusal of Pakistan Telecommunication Company Limited (PTCL) and its subsidiary Ufone to disclose the names of their board members.

The chairperson warned that a privilege motion could be filed against the IT ministry for concealing information. She described the PTCL board as a “white elephant” and said repeated sessions would be convened until full transparency was ensured. Audit officials also raised concerns about Jazz’s recovery of Rs6.8 billion in tariffs, noting that the Pakistan Telecommunication Authority (PTA) had failed to provide the necessary approval records.

Senator Anusha Rahman accused the regulator of negligence, saying its inaction was undermining the private sector’s reputation, and directed PTA to submit complete documentation at the next meeting. Zong came under scrutiny for spectrum misuse and its pending case before the Supreme Court. Senators demanded activation of the telecom tribunal to resolve disputes involving the operator.

The committee also pledged to approach the government to prevent Telenor from exiting Pakistan, warning that the company’s departure would harm service quality nationwide. PTCL has acquired Telenor, but the deal remains under review by the Competition Commission of Pakistan (CCP), which has raised several queries about the merger. PTA officials briefed the committee that a consultant had been engaged six months earlier to assess the 5G auction framework.

The consultant recommended that spectrum-related disputes, including those linked to Sun TV, be resolved first. PTA assured senators that 600 MHz of bandwidth would be available for auction and confirmed that Prime Minister Shehbaz Sharif had been consulted on the matter. However, officials conceded that no final decision had been taken on telecom mergers, which are critical to the auction’s success.

Senator Humayun Mohmand urged the ministry to expedite spectrum-related court cases, cautioning that prolonged disputes could discourage investors. Senator Anusha Rahman demanded the inclusion of the National Accountability Bureau (NAB) and the Accountant General Pakistan Revenues (AGPR) in the auction committee to ensure transparency. PTA supported NAB’s supervisory role, noting that previous recommendations had already called for its inclusion.

The committee devoted significant time to the unresolved $800 million dispute between PTCL and the government of Pakistan. Senator Afnanullah alleged that PTCL’s management was deliberately avoiding settlement. Audit authorities informed the committee that PTCL had refused scrutiny, citing Etisalat’s majority ownership as grounds for exemption. Senators rejected this stance, pointing to Supreme Court directives mandating PTCL’s audit. Senator Nadeem Bhutto labelled the refusal a violation of law. Concerns over foreign entrants also surfaced.

Senator Afnanullah accused Elon Musk of running discriminatory campaigns against Pakistanis on social media and questioned whether his company, Starlink, should be permitted to operate in the country. PTA said Starlink had applied for a Long-Distance International licence, but approval awaited clearance from the Pakistan Space Regulatory Authority. The committee decided to summon the Pakistan Space Activities Regulatory Board to examine the licensing issue.

Cybercrime and consumer protection emerged as further pressing concerns. The National Cyber Crime Investigation Agency (NCCIA) reported that fraudulent call centres and WhatsApp hacks had inflicted losses of up to Rs2–3 billion. Authorities said 63 illegal call centres had been raided, with 60% of cybercrime complaints linked to financial fraud. Senators described the situation as alarming and called for stricter enforcement.

The Securities and Exchange Commission of Pakistan (SECP) revealed that some online loan companies had previously charged interest rates as high as 1,800%, trapping vulnerable borrowers in debt cycles. Citizens had been coerced into granting apps access to contacts and photo galleries, leaving them exposed to blackmail. Some borrowers had taken as little as Rs5,000 for food but found themselves unable to repay.

Since new regulations capped interest at 100% and blocked apps from accessing personal data, SECP said 90% of fraudulent loan apps had been removed. Lawmakers demanded stronger oversight of non-banking financial companies to prevent future exploitation. The committee concluded by pressing the Ministry of IT for details on PTCL’s board of directors, their positions, and remuneration. Withholding the information, members warned, would only further erode public trust. The session reflected growing frustration in Parliament over the lack of regulatory preparedness, warning that without swift action on PTCL’s audit, spectrum disputes, and telecom mergers, Pakistan’s 5G ambitions could stall indefinitely.

TAGGED:#CCPPakistan#CompetitionLaw#ICHCase#TelecomSector
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